LED TVs may cost more as display panels get dearer

In India, 32-inch screen size TVs are still the largest-selling, commanding 37 per cent of sales, followed by 40-42 inch sets, which account for 15% of sales.Writankar Mukherjee | ET Bureau | September 27, 2016, 08:29 IST

KOLKATA: Prices of LED televisions with screen sizes up to 42 inches are set to increase by 5-8 per cent as early as next month, when festive season sales start picking up.

Manufacturers blame a 25-30 per cent price hike of display panels, the main component for these televisions, due to lower supply in this category since global demand has shifted to larger screen sizes – of 48 inches and above.

In India, 32-inch screen size TVs are still the largest-selling, commanding 37 per cent of sales, followed by 40-42 inch sets, which account for 15 per cent of sales.

Large-screen televisions of 48 inches and above, too, will become costlier by 2-3 per cent due to increased demand.

Television makers said they are absorbing most of the panel price increase so as not to upset consumer sentiment during the crucial festive season sales and some including Sony and TCL said they will review prices only after Diwali. Videocon and Panasonic have already decided on the price increase, while LG said it is reviewing the situation.

“Prices of 32-inch panels have gone up the most, followed by 40-inches as a lot of global brands have vacated the segment. Even in the large screen, there are huge global orders whereby panel suppliers are increasing prices. In fact, the shortage may worsen further in October and panel prices may go up by another 18-20 per cent,” said Videocon COO CM Singh.

Separately, RCom initiated contempt proceedings in the apex court against the Department of Telecommunications, blaming it for delaying a spectrum sale that would have enabled dues to be paid to Ericsson and lenders.